What is an Oregon Construction Bond?
While the construction segment has knocked development forecasts over the past years, construction firms still find it tremendously taxing to carry out their projects without delay, finish them within budget, and of high quality. Now and then, bogged down by industry’s demands — from zoning limitations to the escalating price of construction materials —even the most ethical construction firms can be driven to cheat on their clients. This reality is precisely the reason why there exists the Oregon Construction Bond.
The Oregon Construction Bond serves as a sure-fire guarantee that a construction firm will not hold any business dealings, propose a bid, publicize the business or be in a joint venture with anyone if he/she does not have a license.
It is also an unerring attestation that the firm offer bids with sober intentions (Bid Bond), completes projects in a timely manner (Performance Bond), will consistently and dutifully compensate workers for services rendered (Payment Bond), and will thoroughly provide materials/equipment/supplies as stipulated within purchase orders (Supply Bond). It is likewise a clear demonstration of earnestness to resolve confusion or disputes when defective materials or workmanship has been divulged (Maintenance Bond), and will build or renovate public structures according to local specifications (Subdivision Bond).
Why do you need an Oregon Construction Bond?
The Oregon Construction Bond is significantly necessary because your enterprise is vital to you and your profession is an important calling. Having this bond prods existing clients and prospective patrons to look up to you as a reliable contractor doing business with reliability and fulfilling business commitments with a sense of decorum.
An Oregon Construction Bond must be accompanied by the following — A Power of Attorney which must be signed by the Attorney in Fact representing the surety company. Simultaneously, it must be endorsed by an Oregon Agent accredited by the Oregon Insurance Commission, and his/her signature must likewise appear. For sole proprietorships, the owner of the business is the signatory; for corporations, it must be signed by a corporate officer. In the case of limited liability firms, the signature of the manager or a member with managing authority needs to appear on the bond; for limited partnerships, it must be signed by the general partner, and for partnerships, both or all partners must sign the bond.
More details about the Oregon Construction Bond
Before getting bonded, you need to become a licensed contractor first. You have to be familiar and must have abilities vital to managing the day-to-day activities of a construction business. Or, you must be represented by another person possessing the essential knowledge and experience, who will serve as your qualifying individual.
What is the cost of an Oregon Construction Bond?
An Oregon Construction Bond is very much dependent on your financial credit report and reputation as a business owner. Eligible candidates with substantial financial documentation and exceptional business performance are expected to pay lesser than those who have a dubious credit history.
How do I get an Oregon Construction Bond?
Getting an Oregon Construction Bond is simple. Choose a reliable surety company and call ASAP! An experienced surety professional will enthusiastically provide you with answers to whatever concerns you have in the operation of your business.